Whats the difference in these funds please

MonroeM

As well as SWDA and HMWO you might also consider the Vanguard equivalent VWRL although the cost of this ETF is 0.25% as opposed to 0.20% for SWDA and 0.15% for HMWO.

ArchBair

MonroeM wrote: »

As well as SWDA and HMWO you might also consider the Vanguard equivalent VWRL although the cost of this ETF is 0.25% as opposed to 0.20% for SWDA and 0.15% for HMWO.

I would presume the performance figures for these 3 All-World ETF's would be approximately the same, so if that is the case just go for the cheapest option with HMWO at 0.15%. Alternatively, if you would only consider an accumulator then SWDA at 0.20%.

A_T

MonroeM wrote: »

As well as SWDA and HMWO you might also consider the Vanguard equivalent VWRL although the cost of this ETF is 0.25% as opposed to 0.20% for SWDA and 0.15% for HMWO.

or even VEVE at 0.18%

Sally57

I have an investment in HMWO in my ISA and believe it is great value at 0.15% so why pay more for SWDA or VWRL when they are mainly the same ETF’s and the performance is basically the same?

LULULU1

What about the dividend reinvestment cost ??

Alexland

Sally57 wrote: »

I have an investment in HMWO in my ISA and believe it is great value at 0.15% so why pay more for SWDA or VWRL when they are mainly the same ETF’s and the performance is basically the same?

You may wish to pay more for VWRL to get the emerging markets and reduced US exposure as it is an All World index tracker rather than a World index tracker.

Alex

LULULU1

I assume a world index tracker doesn't include Emerging markets ??

Alexland

LULULU1 wrote: »

I assume a world index tracker doesn't include Emerging markets ??

Yup although the list of emerging countries varies slightly between index provider.

http://monevator.com/how-to-chooose-total-world-equity-trackers/

Alex

IanManc

LULULU1 wrote: »

I assume a world index tracker doesn't include Emerging markets ??

The HSBC FTSE ALL-World Index fund and the Vanguard FTSE Global All Cap Index fund (which are OEICs) both include emerging markets.

darkidoe

Just to confuse things, FTSE All World and MSCI WORLD INDEX are two different global indices. For instance, MSCI World index seems to have >1600 holdings whilst FTSE all world has >3100 stocks. MSCI miss out some countries (eg China) that is FTSE's list.

I suggest just pick a GBP fund and choose one index to buy into. Which one to pick is honestly a coin toss i think. They are both broadly diversified index trackers that works.